All Forum Posts by: Donovan Wilcox

Why not just refinance to a 30 year and drop the payment lower. You then would be positive cash flow. Someone else is paying all the interest compared to you paying it now. Your losing not just cash flow but interest as well. With how hard it is to find a cash flowing property I would keep yours and refinance to a 30 year. Who cares about interest with rates this low and now 2 things will happen. You can put the new cash flow toward another investment or savings. And other people are paying that rental off and paying interest. That will free up your DTI as well and you might be able to buy a 3rd property. If you pull some of the equity in the house out then you have a down payment on a 2nd rental. It I’m sure whatever you do it will better than losing money every month.

@Mark Christensen

I pulled my offer yesterday. The current rent history is pretty bad. I decided it was a bad investment. It's back in the MLS if you wanna take a look.

That’s where I’m am going is Weber county. I am going to get a direct mail campaign going up there. Seems like this deal would be good if it was fully rented but I still have not received vacancy rate and rent history.

@Eric Gardiner that’s exactly why I decided to post this up as it’s my first deal as a real estate investor and I’m feeling like I am being bullied by the listing agent. I am using the listing agent thinking that helps him make a bit more money on the deal. On the flip side he has done little to nothing for me and I get these sob stories that the sellers are old and in bad health and so they need the money. At the last minute my offer got put as a backup due to a full price cash offer minutes before mine was submitted. And the fact it took 2 days to submit my offer was a joke. If my offer would have been submitted timely mine would have been accepted at 165,900 and the supposedly cash offer wouldn’t have come into play. So a 2 day delay and a mysterious cash offer forced me to raise my offer to 172,000.  Not to mention I had to push my close date to December 20th and they are almost forcing me to use there inspector and appraiser. It’s a joke and I will most likely pull out of the deal unless a miracle happens. 

Thanks for the help and the info.  It is a 4 plex 2 up and 2 down.  The owner have had it 12 years and have not done much in renovations.  I cannot seem to get a financial history or rental history from the owners. They are an older couple from California that are self managing the property.  It’s getting to be a bit dicey on the deal for sure.  I seem to get the run around from the agent when I ask for info on the property. 

Herriman is pretty overpriced right now like most areas in salt lake county. I have not been able to find anything in Herriman that is a good investment. You can get 10% ROI in Roosevelt and Vernal and some other smaller areas but your at the mercy of oil and coal mining. Ones a good time to buy in those areas and then when the oil comes back you can spike then rents way up.

Thank you Was about to post a screenshot

https://bp-v-newproduction.s3.amazonaws.com/uploads/calculators/shared_report/report_file/dfc9d3e8-0b63-4625-957a-c666268a60c1/report.pdf?X-Amz-Expires=601200&X-Amz-Date=20171129T015004Z&X-Amz-Algorithm=AWS4-HMAC-SHA256&X-Amz-Credential=AKIAJ2DXENEECSJVAAQA/20171129/us-east-1/s3/aws4_request&X-Amz-SignedHeaders=host&X-Amz-Signature=e6d6a371d25523f43a28857ac69e73ee16ca6db88bc2dac553b24765c680335b Here is the calculations for the deal. I have this under contract. But I’m nervous about the small town. Hoping some local Utah people can chime in about it. It’s an amazing deal as numbers go. Thanks BP

You are correct in saying hey are hard to find. What I’m saying is with 3 million dollars kind and costs are less important compared to ROI. Of course getting your 3 mil back soon is cool but 30k a month for the rest of your life is pretty good. As for finding the deals your speaking of you would have to go past Payson.

If I had 3 million I would buy mobile home parks or apartments. Cap rate wouldn’t matter because cash flow would be the name of the game. If you could get a 10 percent ROI on 3 million that’s a pretty good retirement. So 10 percent ROI for life month after month.